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16.—(1) Subject to paragraph (2), in the social housing rents provisions(1), a reference to an amount of rent payable to a registered provider—
(a)in the case of affordable rent housing, includes a reference to such amount payable to the registered provider as constitutes service charge; and
(b)in the case of other social housing, does not include a reference to such amount payable to the registered provider as constitutes service charge.
(2) In the case of affordable rent housing where—
(a)setting the rent on a social rent basis is permitted under the relevant agreement if the rent determined on that basis is higher than a percentage of market rent specified in the agreement; and
(b)(i)in the case of a tenancy beginning at or before the beginning of 8 July 2015, at the time when the rent was last set the rent calculated on that basis was higher than that percentage of market rent, or
(ii)in the case of a tenancy beginning after the beginning of 8 July 2015 at the time when the rent is set the social rent rate is higher than that percentage of market rent,
a reference to the amount payable does not include a reference to such amount payable to the registered provider as constitutes service charge.
(3) In paragraph (2) “relevant agreement” means an agreement of the type mentioned in regulation 19(2) to (4).
See section 30(1) of the Act for a definition of “the social housing rents provisions”.
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